US President Donald Trump said today that some Americans may receive “stimulus checks” from tariff revenues collected this year.
While this proposal represents a form of compensation for consumers affected by high prices, it has also raised concerns that it could trigger a new wave of inflation.
“There’s so much money coming in that we’re considering a small refund,” Trump told reporters outside the White House. “A small refund for people at a certain income level would be very nice,” he said.
According to Treasury Department data, the US government collected more than $100 billion in tariff revenue in the first half of the year. This figure is expected to exceed $27 billion in July. However, much of this revenue has not yet been directly passed on to consumers. However, price increases have begun to be observed in the product groups subject to the highest tariffs.
Trump did not provide details about the planned checks or who they would cover. This isn’t the first time the Trump administration has proposed this idea. A similar “DOGE savings incentive” was previously proposed earlier this year, but it wasn’t implemented.
Trump frequently emphasizes that inflation is under control. However, stimulus packages implemented by both his administration and previous administrations have occasionally led to price increases in the past.
*This is not investment advice.